Paramount shares plunge more than 25% following dismal earnings | CNN Business

  • 📰 CNN
  • ⏱ Reading Time:
  • 25 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 13%
  • Publisher: 95%

Canada News News

Canada Canada Latest News,Canada Canada Headlines

Paramount Global shares plunged more than 25% after a dismal first-quarter earnings report. Citing a weak advertising market in its TV business, the company also cut its dividend sharply.

Paramount+ reached 60 million global subscribers and revenue grew 65% year over year. But losses of its direct-to-consumer unit grew to $511 million — an increase of 12% from $456 million a year ago. The company incurred a $1.7 billion charge in connection with its plan to integrate Showtime into its Paramount+ streaming service and remove certain programming. Prior to the earnings release, Paramount\n \n shares had gained more than 35% this year, but turned negative on the news.

Paramount also cut its dividend 5 cents per share, which will result in approximately $500 million in annualized cash savings. “The company’s 79% dividend cut is not encouraging, but it was necessary,” said Huber Research analyst Craig Huber. “They should have done it years ago, but better late than never.” In recent years, Paramount’s television division has perhaps been best known for its “Yellowstone” series of programs starring Kevin Costner and, more recently, Harrison Ford.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 4. in CA
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Paramount Global shares fall over 25% after weak earnings report, dividend cutParamount Global shares plummet as company cuts dividend and earnings miss estimates.
Source: CNBC - 🏆 12. / 72 Read more »

Stocks making the biggest moves midday: PacWest, Western Alliance, Paramount Global & moreThese are the stocks posting the largest moves in midday trading.
Source: CNBC - 🏆 12. / 72 Read more »

Paramount Global Swings to Q1 Loss On Streaming InvestmentParamount Global said it would it cut its dividend as continued investment in streaming weighed on the company while it saw declines in its traditional revenue from advertising and cable distributi…
Source: Variety - 🏆 108. / 63 Read more »